Danish pension fund Industriens Pension has purchased a significant portion of the Finnish district heating and electricity distribution company Etelä-Savon Energia (ESE).
ESE uses waste products from the forest industry to produce district heating for private households and companies, as well as public customers. The investment was made with global asset manager abrdn, and the seller is the Finnish municipality Mikkeli, which still owns approximately half of ESE. Industriens Pension notes the investment sum has not been made public, but the pension fund confirmed its share amounts to a significant three-digit million sum.
Jan Østergaard, head of real assets at Industriens Pension, described the purchase of part of ESE as “an investment in critical infrastructure with low price and volume uncertainty, inflation protection and low dependence on economic cycles.”
Østergaard added, “It is an investment which can be expected to both deliver an attractive ri